E-Commerce Compliance Simplified — 5 Real Problems Small Sellers Face

If you sell on Amazon, Flipkart, Meesho, or ONDC, compliance is already part of your business. Yet most small sellers lose money, time, or peace of mind because of a few avoidable errors. Here’s how to fix them — quickly and confidently.

1 · Your GST doesn’t match marketplace reports

Problem

Amazon or Flipkart deduct TCS and report it under your GSTIN. When your GSTR-2A shows different figures, input credit gets blocked — even if you did nothing wrong.

Why it happens

Marketplaces report on transaction date; sellers often file based on settlement date. These timing differences create mismatches.

Quick Fix

Reconcile monthly. Use the operator’s TCS statement and match it with GSTR-2A. If mismatch persists, raise a ticket through the portal or correct in next filing cycle.

2 · You record only the money credited — not the full sale

Problem

Bank credit = Sale? Not true. The credited amount already excludes platform commission, logistics fees, and GST on those charges.

Impact

Income overstated, GST miscalculated, audit exposure increases.

Quick Fix

Record gross, not net. Create separate ledger entries for sale, fees, GST, and TCS. Treat platform statements as your primary books, not bank entries.

3 · You’re registered in one state but ship from many

Problem

Multi-state fulfilment without multi-state registration violates Section 22(1) of the CGST Act. Every warehouse counts as a “place of supply.”

Quick Fix

Get state registrations where stock is stored or shipped. It’s a one-time setup that prevents notices later.

4 · Refund stuck? Bank details or IFSC not validated

Problem

CBDT mandates pre-validated bank accounts for tax refunds. A single character error can block your refund indefinitely.

Quick Fix

Validate your account under “Profile → My Bank Accounts” on the e-filing portal. Use a primary business account for all filings.

5 · You ignore compliance until notice arrives

Reality check

Compliance delayed is compliance denied. Most sellers can avoid penalties by checking monthly data for 15 minutes — before the department does.

Quick Fix

Adopt a “15-minute rule.” On the first Monday of every month, review your GSTR-2A, 26AS, and marketplace statements. It’s cheaper than any fine.

Pro Insight: Treat compliance like logistics — systemize, automate, and audit once a year. Small sellers who do this save 10–15 % of effort every quarter.

Tax compliance is not a burden — it’s a business advantage when done right. Book a Compliance Setup Review →